Lay a piece of scrap wood flat on a table, and place the pine plywood on top

Measure the object you plan to displayed. Add 2" to the length and height to the measurement for extra room, and then begin making a square grid on the pine plywood using a pencil and T-square

From those measurements, use a chop saw to cut the wooden dowels to an appropriate size that would fit the measured object. In this case, our dowels are 6" long

Insert the Forstner drill bit into the drill guide so the wider end of the drill bit is inside the wider end of the drill guide. Then attach both pieces to the drill. Make sure the bit is peeking out past the drill guide enough to go all the way through the board

Design Tip: The Forstner bit is perfect for creating clean-edged holes. However, this isn’t helpful if the holes aren’t straight. Use the drill guide to make sure the hole goes straight down at a 90-degree angle.

Put on safety glasses. Line up the point at the tip of the Forstner bit with an intersection where the horizontal and vertical lines meet. Drill all the way through the plywood. The scrap wood ensures that the drill will not go through the table

Sand the board with a sanding pad to erase pencil marks and smooth out holes. Then use a rag to dust off the board

Apply stain to the board and the dowels with a brush, using a rag to wipe off the excess. Be sure to brush in the direction of the grain. You can dip a corner of the rag in the stain to reach the insides of the holes

Let dry for 24 to 48 hours

Installing the Peg Board

Attach the board to your desired space with a nail gun, adding nails around the perimeter of the board in each corner and every 6–8" in between

Insert the pegs into the best holes to display your objects. You can choose to glue the pegs in place, or leave them loose so they remain adjustable